"Liquidity Outflows Spotted in NYC Token Mentioned by Former New York City Mayor Shortly After Listing"

Signs of large-scale liquidity movement were reported around the “NYC token” publicly promoted by former New York City Mayor Eric Adams shortly after its launch.

According to CoinPaper, a crypto (virtual asset) news outlet, Adams held a press conference in New York’s Times Square the previous day and unveiled the “NYC token.” The token was introduced as an extension of his long-standing emphasis, while in office, on leveraging blockchain and digital assets. However, detailed information on the makeup of the co-founders and the entity responsible for operations was not disclosed.

At the press conference, Adams said the token would be used to raise funds to address social issues such as anti-American sentiment and antisemitism, explaining that proceeds were expected to be transferred to a specific nonprofit organization.

However, critics noted that unusual liquidity swings appeared in on-chain data within hours of trading beginning. Some crypto analysis accounts said they had confirmed signs that roughly $3.4 million in liquidity exited over a short period. Other analysts assessed that the project structure is centralized and that investor risk is high.

Bubblemaps, an on-chain visualization analytics firm, said it detected a flow in which a wallet linked to the token’s distributor withdrew about $2.5 million worth of USDC near the price peak, then re-injected about $1.5 million after the price fell more than 60%. The firm said the pattern resembles past token cases that drew controversy over alleged liquidity manipulation.

Another on-chain analytics firm, Lookonchain, said of the token: “Liquidity was removed near the price peak in NYC, a memecoin launched by former New York City Mayor Eric Adams, and about $3.18 million worth of USDC left the liquidity pool.” In the process, some investors reportedly engaged in panic selling, and one trader is said to have incurred losses of about $473,500 (loss rate 63.5%) in less than 20 minutes.

According to official NYC token materials, the asset was issued on the Solana blockchain with a total supply of 1 billion tokens. Of that, 70% is categorized as the “NYC Token Reserve” and is described as excluded from the initial circulating supply.